Tactical Update: August 2, 2024 (PREMIUM-UNLOCKED)

by Dana Lyons
0

*The following Premium post was originally sent to TLS members on August 2, 2024.*

Yields hit the target…

Stocks continue the beating that began yesterday (or last week for the large-caps). Fortunately, bond yields are also getting a beating following today’s jobs report. In fact, yields have dropped down to our target levels that we’ve been looking for all year near ~3.90 on the 10-year and ~4.14 on the 30-year. We are booking some profits here as we could see some consolidation nearby in the near-term. We also added further exposure to our broad market stock positions:

  • We sold 2/5 of our position in the long 30-year bond fund, TMF, near ~58.00 (about ~3% exposure now, with leverage)
  • We sold 1/3 of our position in the long 10-year bond fund, TYD, near ~28.00 (about ~2% exposure now, with leverage)
  • We added to our position in the mid-cap fund, MDY, near ~537.99 (about ~8% exposure now.)
  • We added to our position in the small-cap pure value fund, RZV, near ~104.49 (about ~4% exposure now)
  • We added to our position in the mid-cap pure value fund, RFV, near ~112.69 (about ~7% exposure now)
  • *UPDATE: We added to our position in the small-cap dividend fund, SDVY, near ~33.99 (about ~3% exposure now)*
  • *UPDATE: We added to our position in the equal-weight S&P 500 fund, RSP, near ~166.49 (about ~7% exposure now)*
  • *UPDATE: We covered 1/2 of our remaining hedge position in the inverse Nasdaq 100 fund, SQQQ, near ~10.10 (about ~2% short exposure now, with leverage)*
  • *UPDATE: We sold another 1/3 of our remaining position in the long 30-year bond fund, TMF, near ~58.50 (about ~2% exposure now, with leverage)*
  • *UPDATE: We added to our position in the semiconductor fund, SMH, near ~214.99 (about ~2% exposure now)*
  • *UPDATE: We added a position in the short volatility fund, SVIX, near ~31.99 (about ~1% exposure)*
  • *UPDATE: We added to our position in the equal-weight S&P 500 fund, RSP, near ~165.39 (about ~8% exposure now)*
  • *UPDATE: We added to our position in the short volatility fund, SVIX, near ~29.99 (about ~1.5% exposure)*
  • *UPDATE: We sold 1/4 of  our position in the semiconductor fund, SMH, near ~222.00 (the portion we bought this A.M. — about ~1.5% exposure again now)*
  • *UPDATE: We sold another 1/2 of our remaining position in the long 10-year bond fund, TYD, near ~28.22 (about ~1% exposure now, with leverage)*
  • *UPDATE: We covered our remaining hedge position in the inverse Nasdaq 100 fund, SQQQ, near ~10.00*

That’s all for now. Check back on this post throughout the day for further portfolio moves. And as always, stay tuned to our DSS posts for further developments — they provide the most current updates to our investment portfolio and outlook.

_____________

Disclaimer: JLFMI’s actual investment decisions are based on our proprietary models. Commentary provided here is for informational purposes only and should not be taken as a recommendation to invest in any specific securities or according to any specific methodologies. Proper due diligence should be performed before investing in any investment vehicle. There is a risk of loss involved in all investments.

Categories: Free